Well, I just had another moment of fame and I want to use it to highlight some cool development work.

My first moment of fame was when a Spanish film crew from Canal+ wanted to film my efforts to protest the Republican Convention in NYC in 2004. I was one of a few people highlighted in the documentary, including Amy Goodman and a graffiti artist. I hear the documentary was well-watched in Spain.

My second moment was when BBC radio contacted me about some pieces I wrote about Somalia (I think this article is one of the ones they had picked up on). They asked me to be on a radio call in show as one of four panelists. I have to say that I wasn't as good as I would have liked to be live on radio. But they must have thought I did okay because they asked me to be on again...stupidly I said "no."

This last week I had another encounter with BBC, this time an interview for television about Kiva microlending.

I have written about Kiva several times and I think each time I do, they get a burst of activity on their site. I am never sure how directly responsible I ever am for their sudden increase in traffic to their site, but I notice each time I write about them they start filling loans faster than usual. Kiva is aware of my efforts on their behalf and have been very grateful. And they have kept me in mind as one of their most enthusiastic participants.

Just last week I wrote a diary about Kiva microlending, highlighting one of the loans I have given to a small business in Kenya. Coincidentally, the same day I posted that diary, Kiva contacts me. BBC World Business Report wants to do a piece on Kiva and wants to talk to a lender. Kiva thought of me particularly since they also had a video of one of the business I had lent to in Senegal.

To quote Kiva regarding the situation in Senegal:

Senegal is one of the world’s poorest countries, yet its solid democratic tradition and highly developed associational life distinguish it from other countries in its income group. Especially remarkable are Senegal’s networks of rotating savings and credit associations, which provide the rural poor throughout the country with small loans to finance modest income-generating activities. Repayment rates within these groups are excellent, because they are based on local reputation and personal trust between the members. However, their financial resources are limited to the contributions of their members, frequently subsistence farmers with very little disposable income. This has prevented the traditional associations from meeting the demand for rural microenterprise loans and restricted their impact on the economic development of their communities. Senegal Ecovillage Microfinance (SEM) works with our partner organization CRESP to bridge this gap by linking traditional village credit associations with outside sources of finance.

I chose to lend money to a business bringing together five individuals who are members of the Nanoor association, headed by Mamadou Faye.

This association wants the loan to buy goats which they will raise and then sell for a profit. To me this is basic economics, providing food for a community and income for five families. That is one thing that attracted me to this loan. Though I also have to admit that my stomach played a role as well. One line in a description of the Nanoor group made me hungry:

Goat meat is always in demand in Palmarin and the surrounding areas, where it is commonly stewed in a spicy sauce and served over millet.

Mmmmm...goat in a spicy sauce! Would love to try that! I have had wonderful spicy goat in Indian restaurants and less spicy but just as delicious goat meat at a Haitian restaurant in Brooklyn (a place called Kombit on Flatbush). I suspect that line is what hooked me as a lender to Nanoor...

The Nanoor group has been successful, timing their purchase of goats well. Within a month of receiving the loan, Nanoor was already making a profit because of the good timing. This is a quote (translated from French) about their first month after receiving their loan:

“We’ve gotten our business activities off to a good start, especially during the festival of Korité [also known as Eid al-Fitr, celebrated by Muslims to break the fast at the end of Ramadan] because we really responded to the local villagers’ demand for meat, and we were able to buy the maximum amount of goats to satisfy the demand. We also kept good accounts of our business earnings, and the profits not only allowed us to buy more goats, but also and above all to take care of our families, because as the proverb goes: ‘He who works at the hotel eats at the hotel.’”

To me this is capitalism at its best: profiting by meeting an important need of the community, meat for a religious festival. This initial success allowed the Nanoor group to purchase more goats for later profit.

Now that the loan is nearing completion, a recent report from the Nanoor group shows how helpful this loan was for their business:

We started by discussing his business in general. The Nanoor group bought around 20 small goats with the funds that they received in October 2006. As well, they were able to buy some medical supplies and food for the herd at the time of receiving the loan. He paid approximately $30 US per goat, and is able to sell them for approximately $40 US or more. The price of adult goats is dependent on the time of year in Senegal. During the rainy season goat feed is plentiful, and livestock is able to eat well, and fatten up. Naturally the more plump the animal, the more money it will sell for. Conversely, during the dry season, animals tend to be thinner and cheaper as a result of food scarcity. This is the perfect time to buy animals for investment purposes.

Mamadou’s loan is nearly repaid and he reflects on the experience positively. He says that although the profits were not huge, the group was able to profit. He would like to take a second loan and believes that it will prove to be more profitable. He would like to buy cows with the second loan. He would enjoy a steady income stream that has been established with the goat rearing business, while paying back the loan for the cows. He could either sell the cows once they are grown, but he is considering raising them to sell their milk as he believes there is demand from the villagers. Cow’s milk is used to produce a traditional yogurt product, as well as used to make some traditional Senegalese dishes. Attached is a photo of Mamadou and his herd.

Yep...I helped them buy those goats.

BBC news was able to have footage of Mamadou and also wanted to talk to me. They met me at work and took me to a cafe (coincidently right next door to the apartment where my wife grew up!). I don't know exactly when the interview will be on...it may already have been on. I think they are showing it during the 5:00 PM showing of BBC news and when I watch BBC news I catch the morning version. So I may never see it! But it was fun participating. If you happen to catch it, let me know how I did!

I am proud to be part of Kiva's efforts. But I also am always aware that their efforts alone will be of limited effectiveness.

Senegal, for example, is also on an ecological frontline. I always feel like microlending can only go so far in helping a nation. The context within which the business I am lending to exists is also critical. Environment, population pressures and the role of women in society all are as important as the availability of microloans to build the small businesses of a nation. Senegal lies a mere 150 miles south of the Sahara...and it is moving steadily to the south, approaching Senegal. Deforestation and climate change are accelerating desertification and the southward spread of the Sahara. This will threaten all progress made in Senegal if it isn't addressed.

Trees for the Future is an organization that has a project in Senegal that seems to be directly confronting the problem of environmental degradation and desertification in that part of Africa. I just recently gave money to another organization that is planting trees in Kenya (the nation I highlight in my last Kiva diary), so I am not ready to give more right now. But I ask my readers to chip in a little to plant trees in Senegal. You will be helping to offset your carbon footprint while helping farmers in Senegal keep the Sahara at bay. And this will help Mamadou and his family keep their business efforts successful and help them provide food for their community.

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